UGC has grown exponentially in popularity in the past few years. Why?

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• UGC results in 29% higher web conversions than campaigns or websites without it

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• UGC-based ads get 4x higher click-through rates and a 50% drop in cost-per-click than average.

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• 79% of people say UGC highly impacts their purchasing decisions.

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Definitionally, UGC stands for User Generated Content. Whilst in the traditional sense, it may refer to consumer interactions such as comments, stitches, and unboxings, the term has broadened in definition, to refer to an emergent industry within the Creator Economy.

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What does UGC mean in 2025?

UGC content in 2025 typically refers to content that is commissioned by a brand, according to a brief, that is delivered in the style of organic and influencer format posts. The content would be created either by a dedicated UGC creator or by an influencer who offers services in UGC. The difference in the agreement, is that the content would typically not be posted by the creator themselves, but instead would be used solely by the brand, either in their organic, or paid media, or both. 

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Traditional influencer marketing and user-generated content (UGC) have both carved out significant roles in how brands connect with audiences, yet they differ in execution, impact, and suitability depending on campaign objectives.

Understanding these differences, the optimal scenarios for each, and the potential synergy when combined can empower brands to craft more effective marketing strategies.

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Traditional Influencer Marketing vs. User-Generated Content (UGC): Key Differences

Influencer Marketing involves brands collaborating with individuals who have established credibility and a substantial following on platforms like Instagram, YouTube, or TikTok. These influencers create and share content featuring the brand's products or services on their own channels, leveraging their influence to affect the purchasing decisions of their audience (​Together Agency).

In contrast, User-Generated Content (UGC) refers to content created by consumers rather than the brand itself. This includes reviews, testimonials, images, videos, and social media posts that showcase the consumer's experience with a product or service. UGC can refer to either unsolicited content shared by consumers on their own channels or brand-curated content that is featured on official platforms. (​Moburst; Project Practical).

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‍When and Why Each Works Best

Influencer Marketing is particularly effective for:​

• Launching New Products: Collaborating with influencers can generate immediate buzz and reach targeted demographics swiftly (​Business Insider).
  
  
• Targeting Specific Niches: Influencers often have followers with shared interests, making it easier for brands to reach niche markets.​
  
  
• Enhancing Brand Credibility: An endorsement from a trusted influencer can lend credibility and authenticity to a brand.​

(Project Practical; The UGC Agency; Everyone Social; Full Fat; Marketer’s Best Friend; BazaarVoice; Statistica)

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User-Generated Content excels in scenarios such as:​

• Building Community Trust: UGC showcases real-life experiences, fostering trust and relatability among potential customers (​Future Of Marketing | TINT).
  
  
• Cost-Effective Marketing: Leveraging content created by users can reduce content production costs.​
  
  
• Enhancing Engagement: UGC encourages other consumers to share their experiences, creating a ripple effect of engagement.​

(CrowdRiff; ProjectPractical; Nosto; Statistica; Everyone Social)

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Facts and Stats Supporting Effectiveness

Recent data underscores the impact of both strategies:​

Influencer Marketing Growth: The global influencer marketing market size is projected to reach $19.8 billion in 2024, up from $17.4 billion in 2023, reflecting a 13.7% growth (​Collabstr).

• Consumer Trust in UGC: Approximately 84% of consumers are more likely to trust a brand's marketing campaign if it features user-generated content (Bazaarvoice).
  
  
• Impact on Purchasing Decisions: 77% of shoppers are more likely to buy a product they discovered through UGC (Bazaarvoice).
  
  
• Engagement Rates: UGC-based ads achieve four times higher click-through rates compared to traditional ads. ​

(Moburst; Purebred Marketing)

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Combining Influencer Marketing and UGC

Integrating influencer marketing with UGC can amplify a campaign's reach and authenticity. For instance, brands can collaborate with influencers to create content that encourages their followers to produce and share their own content related to the brand. This strategy not only leverages the influencer's reach but also builds a repository of authentic UGC that can be repurposed across the brand's channels.​

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Types of UGC and Influencer/Brand Collaborations

UGC manifests in various forms:​

• Reviews and Testimonials: Written or video endorsements from customers.​ Project Practical
  
  
• Social Media Posts: Photos or videos shared by users showcasing products (Everyone Social).
  
  
• Unboxing Videos: Content where users film themselves opening and reviewing new products.​
  
  
• Hashtag Campaigns: Brands create specific hashtags to encourage users to share content.​
  
  

In terms of collaborations:​

• Influencer Partnerships: Brands pay influencers to create content posted on the influencer's channels.​
  
  
• UGC Campaigns: Brands encourage their customer base to create content, sometimes incentivised through contests or features on the brand's official channels.​
  
  
• Hybrid Campaigns: Combining both strategies, where influencers kickstart a campaign that invites broader audience participation.​
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Choosing Between UGC and Influencer Campaigns

Deciding whether to invest in a UGC campaign over an influencer campaign depends on the brand's objectives:​

• Control vs. Authenticity: Influencer campaigns offer more control over messaging, while UGC provides authentic consumer perspectives.​
  
  
• Budget Considerations: UGC can be more cost-effective, whereas influencer partnerships may require a larger investment.​
  
  
• Target Audience: Influencer campaigns can effectively reach specific demographics, while UGC appeals broadly through peer recommendations.​
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Where UGC and Influencer Marketing Meet: Your Next Step

In conclusion, both influencer marketing and user-generated content offer distinct strengths that, when used strategically, can significantly elevate your brand’s marketing. Influencers bring reach and storytelling; UGC delivers authenticity and trust. The real power lies in knowing when and how to combine them.

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That’s exactly where UGC Studio comes in.

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Built by Pepper, UGC Studio gives brands scalable access to creator-style content that looks and feels like UGG, but is designed, directed and optimised for your channels, not theirs. No over-polished ad shoots. Just relatable, high-performing content made by real people, for your paid, organic and owned media.

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Creators don’t post. You do. You get a ready-to-use content library, full usage rights, and formats optimised for performance, whether it's TikTok, Reels, product demos or testimonials. And because it's powered by InfluenceIQ, every piece is backed by data-led creator selection, real-time trends and proven messaging.

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So, whether you're building brand love or driving conversions, UGC Studio brings the best of both worlds: authentic, human content with the control and consistency of a production model.

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Get in touch if you’d like to learn more!

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